By tracking publicly announced major investment projects
in key sectors, Enterprise Saskatchewan has conservatively
recorded more than $XXX billion in expected major capital
projects over the next XX years ($XX billion in the last
year alone). And this does not include expenditures in
energy exploration, major agricultural land development,
public infrastructure or smaller-scale commercial activity.

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Investment today is cash flow tomorrow.

Saskatchewan's economic advances in the past decade are regularly featured in the national press these days. Whether it is the latest takeover pursuit of an iconic corporate player such as Viterra or PotashCorp or the well-established growth record of the resource sector, Saskatchewan is now part of the national business lexicon. No longer are we the eccentric and loveable place best known for producing unique political figures and a subsistence existence for the hardy citizens and businesspeople willing to brave the province's difficult environment.

No, today Saskatchewan boasts an economy worthy of a fresh look.

Many longtime members of the province's corporate community have seen firsthand how the new Saskatchewan has changed their world. In a nutshell, they have seen a raft of new players - fresh competitors - descend on the marketplace. When the City of Saskatoon, for example, was tendering its mega South Bridge project a couple years ago, it attracted a bidder from Spain. When was the last time a European contractor paid attention to anything happening in Saskatchewan? Never. Clearly, Saskatchewan's economy as a place to do business has irretrievably changed.

This transformation has been characterized as Saskaboom, the New Saskatchewan or simply the Boom, but whatever terminology is used, the message is clear. Saskatchewan has gone from Next. Year to This Year Country.

Most observers - notably those in places like Ontario where complaints that the West's ascension as epitomized by Saskatchewan's newfound place in Confederation is a source of worry over the loss of political clout and economic influence in Canada - attribute the changing face of our province to strong global demand for resources. Effectively, they are saying this is a price-driven wave.

Indeed there is some validity to this description. After all, Saskatchewan and the West as a whole has been blessed with abundant natural resources and when they go up in price, so do our economic fortunes. But to describe Saskatchewan's ride as one based only on revenues - the top line of the income statement - sells it short.

Saskatchewan is also experiencing a balance sheet expansion - fresh capital investment - that largely goes unnoticed in the national media. Yet, this aspect of the province's growth story may actually be more profound. It is fundamentally changing the face of Saskatchewan's economy in a way that high prices simply could not duplicate.

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This is foundational change. It is not subject to the rapid changes resulting from fluctuating commodity prices. Rather, it is a sign of long-term confidence in Saskatchewan's prospects.

To put it another way, investment raises or extends the platform upon which the provincial economy operates. We are now operating on a larger, broader economic foundation and, since foundations are not easily taken apart, it means Saskatchewan is forever changed by events of the last five or ten years.

The provincial government currently projects the value of investment in major projects in the province at $XXX billion over a ten-year period with the largest portion of that figure - more than $XX billion - triggered by capital spending from the mining sector. In preparing the listing, the government is quick to note that it doesn't necessarily capture every project so this tabulation probably errs on the low side and, given that investment intentions change rapidly, readers should be aware that it may be out of date. But one thing is certain - anytime S XXX billion is plugged into an economy that historically was under-developed - something big is happening. Even if the tally misses by a billion or two, the impact of this volume of fresh capital is bound to be dramatic.

Additional evidence of the magnitude of capital inflows to the province are contained in the annual Statistics Canada tabulation of capital spending.

Late in the year, the agency polls more than XX,XXX public and private organizations across Canada to assess their capital investment spending intentions for the year coming to an end as well as compiling a forecast for spending in the coming year. The new report covering 2011 and 2012 was tabled in early March and shows that capital flowing into Saskatchewan significantly exceeded expectations last year. It also served as a stark reminder of just how much the provincial economy has changed.

Ten years ago, Saskatchewan had a very predictable economy. Capital spending or investment in things such as plant, equipment and technology came in at roughly $X billion annually. It was like clockwork - hardly moving above or below the $X billion figure. One report suggested total industrial spending in the province in 2004 was $XXX million with one major forestry project representing roughly XX per cent of that total.

But then things began to change in 2005 as the numbers began to move. In the early days it was largely unnoticed as global capital - always a year or two ahead of the curve - turned its attention to the sleepy little economy on the prairies.

Before long, annual capital spending had risen to $XX billion, a figure many observers characterized at the time as an aberration. Then it rose again to $XX billion and then $XX billion was the forecast for 2011. By the end of last year, however, the $XX billion estimate proved too conservative as StatsCan reported in early March that the actual figure had surpassed $XX billion and would exceed $XX billion in 2012.